Matcha shortage spurs calls for stricter rules as counterfeits rise

Clear origin labels and tougher import checks help curb risks.

A shortage of matcha is exposing gaps in regulation, as surging demand fuels a rise in counterfeit and potentially unsafe products, according to GlobalData.

Once a niche ingredient, matcha has moved firmly into the mainstream, boosted by social media trends, wellness marketing, and its spread across food, beverages, and cosmetics.

Survey data from Q4 2025 reflects that shift: 53% of consumers in Asia and Australasia said they buy beauty and grooming products based on social media recommendations, whilst 47% said the same for food and beverages.

But supply has struggled to keep pace. Production remains slow and seasonal, with leaves harvested only once a year, whilst climate pressures and labour shortages are further constraining output.

The imbalance is creating an opening for fraudulent products. Lower-cost substitutes and mislabeled blends are increasingly entering the market, with some testing showing elevated levels of heavy metals such as lead, arsenic, and cadmium in low-grade powders.

Jaya Dandey, Consumer Analyst at GlobalData, says the situation highlights the need for tighter oversight.

Calls are growing for stricter certification standards, more rigorous testing, and stronger enforcement—particularly in online marketplaces where counterfeit goods can proliferate.

Improved import inspections and clearer origin labeling are also seen as critical to protecting consumers and legitimate producers.

Governments and industry groups are beginning to respond. Japan is encouraging farmers to shift toward tencha cultivation—the raw material for matcha—and is pushing for regional trademarks to safeguard authenticity.

Support programmes are also being rolled out for younger farmers, including financial assistance, training initiatives, and changes to inheritance rules.

Regulatory changes could also influence pricing. The US–Japan trade agreement currently applies a 15% tariff on Japanese matcha imports, and there have been calls to revisit these terms through exemptions or reductions.

Japan’s Ministry of Agriculture is also promoting regional trademarks, such as “Uji Matcha,” as part of efforts to counter counterfeit products.